Yeast Extract Market
Yeast Extract Market 2024-2034: Trends & Insights
The global yeast extract market is projected to grow significantly, with market size expected to expand from USD 1,550.9 million in 2024 to USD 2,585 million by 2034, reflecting a 6.78% compound annual growth rate (CAGR). This growth is driven by the surging demand for natural food ingredients and the growing trend of clean-label, non-GMO, and plant-based diets.
Market Value Projections (2024-2034) for Yeast Extract Market
| Year | Market Value (USD Million) | CAGR (%) |
| 2024 | 1,550.9 | 6.78% |
| 2034 | 2,585.0 |
Key Market Trends in Yeast Extract Market
1. Rising Popularity of Plant-Based Foods
The surge in plant-based, vegan, and vegetarian diets has fueled the demand for yeast extract. Its umami flavor, health benefits, and natural sourcing make it a key ingredient in vegan and plant-based recipes.
2. Consumer Preference for Natural & Clean-Label Products
As health consciousness grows, consumers are increasingly looking for clean-label, non-GMO, and minimally processed ingredients. Yeast extract fits perfectly into this trend, being used in a wide range of bakery, beverage, and processed food applications.
3. Increased Demand for Alcohol and Baked Goods
Yeast extract plays a vital role in the production of bakery and alcoholic beverages. The increased consumption of ready-to-eat bakery products like cookies, cakes, and bread is driving the market’s growth.
4. Growth in Probiotics and Nutritional Supplements
With the rise of functional foods and supplements, yeast extract is becoming a staple ingredient due to its high protein, amino acids, and B vitamins content.
Market Segmentation in Yeast Extract Market
By Grade
- Food Grade: Used extensively in food & beverage applications, holding 68.58% of the market share.
- Feed Grade: Used as a nutritional enhancer in animal feed.
By Form
- Powder
- Paste
- Liquid
- Flakes
By End-Use Industry
- Food & Beverages: Baked goods, soups, sauces, and ready meals.
- Animal Feed: Nutritional supplements for livestock.
- Pharmaceuticals: Used in the development of probiotics and dietary supplements.
- Microbial Nutrients: Essential in microbial growth media.
- Cosmetics & Personal Care: Used in skincare products for its antioxidant properties.
- Other Industries: Biofuel production, biomass production, and fermentation processes.
By Region
- North America
- Europe
- Asia Pacific
- Latin America
- Middle East & Africa
Key Growth Regions for Yeast Extract Market
1. United States
- CAGR: 5.01% (2024-2034)
- Growing emphasis on sustainable and bio-based ingredients, including yeast extract for natural flavor enhancers in plant-based meat.
2. China
- CAGR: 7.28% (2024-2034)
- Strong demand from the craft brewing industry and fermented beverages like kombucha and cider is driving the yeast extract market in China.
3. Japan
- CAGR: 7.1% (2024-2034)
- Growing interest in health-conscious products is encouraging the use of yeast extract in dietary supplements and fermented products.
4. Australia
- CAGR: 9.1% (2024-2034)
- Australia’s rising focus on clean-label, natural ingredients is driving demand for yeast extract in innovative food and beverage applications.
5. Germany
- CAGR: 3.4% (2024-2034)
- Increasing baking activities, especially post-COVID-19, have driven the demand for yeast extract in bread, cakes, and packaged baked snacks.
Category Insights for Yeast Extract Market
Food-Grade Yeast Extract
- Market Share: 68.58%
- Widely used in food production, this segment is expected to maintain its lead through 2034. It is recognized as safe (GRAS) by leading regulatory bodies and is essential for creating authentic umami flavors in snacks, sauces, and meat alternatives.
Food & Beverage Sector
- Market Share: 35.47%
- Used in sauces, savory snacks, bakery products, and soups, yeast extract serves as a natural flavor enhancer in a wide range of food applications.
Challenges & Restraining Factors in Yeast Extract Market
- High Production Costs: The production of yeast extract requires significant upfront investment in R&D and manufacturing facilities.
- Regulatory Constraints: Regulatory approval and food safety compliance pose challenges for new market entrants.
- Volatility in Raw Material Prices: Fluctuations in the cost of saccharides, sugar derivatives, and other raw materials impact production costs.
Competitive Landscape in Yeast Extract Market
The yeast extract market is fiercely competitive, with key players making significant investments in R&D to develop new products and flavors. Recent mergers and acquisitions have reshaped the landscape, with companies like Kerry Group and AB Mauri making strategic moves.
Key Companies in Yeast Extract Market
- Lesaffre Group
- Kerry Group
- Angel Yeast
- Lallemand Inc.
- Biospringer
- AB Mauri
- Chr. Hansen
- DSM
- Novozymes
Recent Developments in Yeast Extract Market
- 2024: Leiber GmbH launched a reduced-sodium yeast extract, catering to the growing demand for healthy, low-sodium products.
- 2023: Kerry Group announced its investment in a new yeast extract production facility in Asia-Pacific, reflecting the rising demand for yeast-based ingredients.
- 2023: AB Mauri acquired Leiber GmbH to expand its portfolio of yeast-based products, particularly in the savory ingredients segment.
- 2023: DSM partnered with Bio-Ingredients to launch a zero-waste yeast extract production method, utilizing spent yeast from fermentation processes.
Frequently Asked Questions (FAQs) for Yeast Extract Market
1. How big is the yeast extract market in 2024?
- The market is valued at USD 1,550.9 million in 2024.
2. What is the expected market size by 2034?
- The market is projected to reach USD 2,585 million by 2034.
3. What is the anticipated CAGR for the yeast extract market?
- The market is forecasted to grow at a 6.78% CAGR from 2024 to 2034.
4. Which country is expected to witness the fastest growth?
- Australia is projected to grow at a CAGR of 9.1%, driven by consumer preference for healthy and natural food ingredients.
5. Which regions dominate the yeast extract market?
- The key regions driving growth are United States, China, Japan, Australia, and Germany.
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